Technical analysis of BTC/USD for 16/10/2019

Technical analysis of BTC/USD for 16/10/2019

Crypto Industry News:

Tim Draper, a billionaire investor, said he expects Bitcoin – in combination with other technologies – will change the way governments operate around the world. In a published post on social media, Draper calls Bitcoin the “starting currency” and praises its decentralization and boundless nature, saying that he believes that BTC will unite the world: “Thanks to Bitcoin and decentralization associated with Bitcoin, geographical boundaries have become less important. We are no longer at the mercy of dictators and paid trolls to develop the global economy. […] In the long term, I believe that when it comes to business and economy, we are one world more than ever before, “he said. Draper also accuses those who reject Bitcoin saying he is sticking to tribalism and repeats the belief that “tribalism is dying.” He also compares attempts to maintain power to the roar of a falling king: “Tribalism is dying. And like the roar of the dying king of the jungle, we hear political leaders beating their chest as they try to hold on to the power they once had when the world was only tribal.” Draper also describes the idea of a global health insurance policy – which is more effective and efficient than current offers – “where contributions are in Bitcoins and claims are settled in writing using intelligent contracts and monitored by artificial intelligence.” He also explains his vision of retirement, which does not depend on the decision of political leaders, but “is simply a form of a permanent smart contract.”

Technical Market Overview:

The BTC/USD pair has started to test the technical support located at the level of $8,048 after a failed rally towards $9,000. This level is around the middle of the horizontal trading range located between the levels of $8,760 – $7,700, so it is important for bulls to defend it. The momentum is rather flat and the global investors await a clear breakout in either direction. Please notice the larger timeframe trend remains bullish.

Weekly Pivot Points:

WR3 – $9,781

WR2 – $9,248

WR1 – $8,711

Weekly Pivot – $8,198

WS1 – $7,675

WS2 – $7,127

WS3 – $6,590

Trading recommendations:

Due to the short-term impulsive scenario invalidation, the best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.

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